Welcome to San Diego Blog | August 15, 2012
San Diego Condo Owners…
Last year the Downtown San Diego Condo market looked quite different than it does today. There was an abundance of foreclosure and short sale condos available. The few remaining new developer condos were in a “let’s make a deal” mode.
These factors combined to create an obvious “buyer’s market.” My colleagues and I would come back to the office and high-five having helped a buyer achieve an all-time low price in one of the Downtown San Diego Condo buildings.
It was in this period, in August of 2011 that Eddie and Adriana came in to the Welcome to San Diego office asking for help to find a condo for a weekend getaway. Parents of a teenaged daughter and a son just about to finish college, they were looking for both a good investment and a nice escape.
It’s all about the lifestyle
We started looking for a really great deal–a low price in a building with lots of desperate sellers. These were largely residences with fewer amenities and lower HOAs. We looked at a dozen and nearly closed on one of them. But, it wasn’t quite right.
Then one day Eddie asked me to show him The Mark–#1204. A complete departure from other condos he had viewed. The Mark was built in 2007. It’s architecture and design is quite unique among San Diego luxury condos, with the use of exposed concrete to complement more traditional elements like floor to ceiling windows, European cabinetry and rich wood floors.
In the end, this was just the icing on the cake. What they found out from their experience at The Mark condo is that a getaway to Downtown San Diego is much more about what’s outside of the condo than what’s inside. Starting with abundant amenities–a huge pool and barbecue deck that features the largest hot tub of all San Diego condos.
An ideal location (at least for their entertainment) at 8th and Market, just 2 blocks from Petco Park to the south and the Gaslamp District to the west. There are literally dozens of restaurants within these four blocks, grocery stores across the street.
In every way, there was no doubt that this was the right condo for this client.
One year later…
Eddie and Adriana loved their Downtown life so much that they wanted to upgrade it. #2304 at The Mark had just shown up as a new listing. The price is quite a bit higher than what they had paid for #1204 8 months earlier. They determined that if the deal could be put together, the benefits were clearly worth the cost.
On the 23rd floor several things change. The new condo has 10 foot ceilings instead of 9, there is a second parking space and by elevating another 100 feet, the condo is higher than most of the surrounding buildings. The view is incredible (and it is utterly ironic because a year earlier Eddie was afraid to go out on his patio because it was so high!).
The challenge that we preceived was selling #1204 quickly enough and at a high enough price to justify the move. Looking at recent comps in The Mark specifically and East Village in general, we knew we had to push the envelope.
We chose a price of $424,900, $15,000 higher than any of the comps. Instead of a year earlier when we were high-fiving achieving the lowest price in a building for our buyers, now we are seeking the highest price in a building for our sellers.
It took 28 days and several near misses to have the right buyer arrive. But at a purchase price of $420,000, my clients were able to pay real estate commissions and the expenses of selling and still walk away with a small profit after less than one year of ownership.
They are looking forward to the rest of the summer on their 23rd floor balcony and many years of family get togethers in their new condo. I can hardly wait to join them. Congratulations Eddie and Adriana.
Want to start a conversation about San Diego real estate? Contact David Manes at 858.432.3203 or firstname.lastname@example.org.